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HR Issues for Business: Workplace relations and legal matters

When there’s tension in the workplace, it’s unpleasant for everybody.

Perhaps a colleague’s behaviour at the most recent work function has caused discomfort – there’s always somebody who takes an ‘open bar’ as a personal challenge! – or growing strain on a manager’s relationship with their team has been prompted by performance concerns.

Between challenges presented by conflict resolution, an ever-evolving legal landscape, and the inherently complex nature of workplace relations, it’s hardly surprising that employers find it a tricky subject to tackle.

Best practices for managing workplace relations

It’s important for an employer to be proactive.

If an issue arises, they must be able to demonstrate that they’ve have taken all reasonable steps and met their legal obligations. Failing to do so could result in legal and financial consequences in the event of a claim.

How can they avoid the most common pitfalls?

Understand the severity of these issues

Yes, disagreements between employees are normal and can happen daily inside larger companies. Why? For no other reason than if you put enough people in a building for eight hours, someone is bound to annoy someone else.

This is supported by ACAS research which found that nearly half (44%) of working-age adults in Great Britain experienced conflict (such as disagreements, disputes, or difficult relationships) at work within the past year.

Disputes can range from minor interpersonal clashes, such as using the wrong mug, to serious formal grievances.

Leaving them to escalate, or mishandling them, can have serious legal consequences for example: tribunal claims, financial penalties, and reputational damage, but can also impact team morale, productivity, and professional relationships.

Ultimately, businesses who understand that properly handling workplace disagreements isn’t ‘just’ a HR formality, and instead take a proactive approach to workplace relations, will be the ones that avoid legal fallout.

Introduce appropriate policies and training

Once you’ve grasped the importance of managing workplace relations effectively, the next step is to ensure you have the right policies in place to support that goal.

And, crucially, that people have read and understood them!

For example, updates to the Employment Rights Bill, expected to take effect in October 2026 and April 2027, mean employers will have a new, explicit duty to help prevent sexual harassment by taking ‘all reasonable steps’.

The most forward-thinking employers will be those who embrace proactive prevention.

These businesses will ensure that policies already in place are updated, and clearly outline the preventative measures in place – demonstrating compliance while also providing a clear framework of for everybody.

Preventative measures include clearly communicating reporting processes, and providing practical team training to build awareness, support understanding of these policies, and set the standard of behaviour expected.

Introducing policies alone isn’t enough.

All employees should know what constitutes sexual harassment, the avenues available for raising concerns, and the steps involved in responding to them.

Expand this approach to other scenarios that may give rise to workplace grievances, and employees are more likely to report issues because they feel reassured that they will be handled promptly, fairly, and in line with established procedures.

Tighten performance management procedures

Performance management and workplace relations may not initially seem related at all. However, this couldn’t be further from the truth.

As highlighted by ACAS research, capability and performance issues were the most common topic of conflict (38%), while nearly a third of people (32%) reported conflict with their line manager.

These significant figures underline just how easily unclear expectations, inconsistent feedback, or poorly handled performance conversations can quickly grow into strained relationships, grievances, or even complete disengagement.

This means that alongside being essential for things like staff retention and employee development, effective talent and performance management also plays an important role in minimising conflict throughout the organisation.

Building clear objectives, regular check-ins, and constructive feedback into regular reviews can support the swift identification and resolution of issues well before frustrations build.

Managers must also possess the appropriate training to have these difficult conversations in a way that’s empathetic, confident, and fair, ensuring employees understand expectations and feel supported – not criticised.

This is why HR is so much more than managing policies; it’s essential for promoting a positive culture, preventing any conflict before it starts, and staying ahead of legal expectations.

Where does Peach Law fit in?

We like to think of our team as an extension of yours – we just don’t take up desk space, drain the coffee machine, or show up at the staff party.

Instead, we’re the cost-saving and flexible solution to HR issues that’s there when you need us.

Whether there’s an issue with conduct and conflict or an employee has reported an incident of sexual harassment within the workplace, we can guide you through the most appropriate course of action and also ensure you have the right policies in place.

To learn more about our HR services, please don’t hesitate to reach out online or get in touch via:

Phone: 0161 478 3800

Email: joanne.wilson@peachlaw.co.uk


HR Issues for Business: Workplace relations and legal matters

Join the hundreds of businesses that trust Peach for their unrivalled legal and HR services.

Peach Law was born out of a desire to provide clients with more flexible specialist employment law and HR expertise without the traditional call centre approach and without the need for rigid and expensive law firms. You’ll only ever speak to the senior individuals working on your account. You’ll get the information you need, when you need it.

A refreshing blend of legal & HR expertise.

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